BAA Appoints LogicaCMG in New Five Year Outsourcing Contract

LogicaCMG selected as key strategic outsourcing partner by BAA

BAA, the worlds leading Airport Group, has awarded a 5-year Application Management outsourcing contract to LogicaCMG. Under this new agreement, LogicaCMG, one of Europe’s leading IT and business services companies will work with BAA and its partners to transform and manage most of BAA’s current software applications.

LogicaCMG will deliver the outsourced support services through a blended Onshore / Offshore model utilising its Shared Services Centre in Bangalore offering BAA efficiency and quality improvements combined with significant cost savings.  LogicaCMG will manage over 400 different applications ranging from aircraft stand allocation and staff rostering, through to BAA’s Oracle Enterprise Suite and will work with BAA to streamline and transform performance of the end-to-end application support, maintenance and development processes. 

As part of the contract, approximately fifty BAA staff will transfer to LogicaCMG, offering those employees a range of exciting career opportunities across the company.

LogicaCMG was selected because of its collaborative approach, and its proven record in effecting successful business and IT transformations at leading public and private sector organisations. Other factors included LogicaCMG’s ability to enable BAA to meet its overall strategy by reducing the cost of the delivery of its Application Services and Development, whilst improving the quality and agility of the service. Key to achieving these objectives was its experience in global sourcing which reduces the cost of Application Services and development by blending highly-skilled labour from lower-cost locations.

LogicaCMG’s global sourcing hub will provide BAA with seamless integration between offshore and onshore service delivery. This will enable a ‘best of all worlds’ approach, delivering the benefits and efficiencies of global sourcing, whilst retaining local skills, ownership and domain knowledge to reduce the perceived risks associated with moving work offshore.

Commenting on the contract Richard Rundle, BAA IT Director, said: “LogicaCMG was clearly the right business partner to form part of our multi-vendor strategy. As a leading Applications Services provider in Europe, LogicaCMG demonstrated that it had the capability, experience, expertise and geographic reach to deliver lower-cost, high quality, enterprise-wide solutions. Through this contract BAA will be able to achieve a more consistent approach to its IT services and applications across the business. It will allow us to manage our applications at an optimal cost, whilst maintaining strong service levels.”

Harbinder Dhaliwal, Director of LogicaCMG’s Transport business in the UK, said: “This exciting partnership draws on LogicaCMG’s strengths in outsourced Applications Services and Testing, and our market leading experience and capabilities across the Transport sector in the UK and beyond. The agreement will not only result in improved service delivery and reduced costs for our customer, but it will also provide the BAA staff transferring to LogicaCMG the opportunity to work for a leading European IT services provider. We are looking forward to becoming a key strategic outsourcing partner to BAA and welcoming its employees to LogicaCMG.”

As part of the contract, Applications Enhancement, Development and Testing and Preventative Maintenance will also be managed and streamlined. The contract with LogicaCMG became operational in January 200

Source: Logica

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